Industry News
Accor speeds up disposal plan
Accor has announced plans to increase the speed and volume of its asset-disposal programme this year, which will decrease net debt by up to Eu650m compared to the previous target of Eu450m. The move is in contrast to competitors such as Starwood Hotels & Resorts, which is waiting for a rebound in the transactions market before pursuing its own asset-light strategy.View Article
Pandox leads Europe after Norgani buy
Pandox is to acquire Norgani Hotels for 8.3bn Norwegian Kroner (£860m) from Oslo Properties, a 100% owned subsidiary of Norwegian Property, in a move which will take the group to 119 hotels. The deal, which is conditional on funding and the approval of competition regulator will, Pandox said, make it the leading specialised hotel property company in Europe in terms of geographical diversity, number of hotels and brands.View Article
Nama takes on bad hotel loans
Hotels in Ireland came under further stress last week with the news that Lloyds Banking Group is to wind down Bank of Scotland (Ireland), with the Irish Hotel Federation warning that the decision could be "catastrophic". The news came as second tranche of loans were transferred to the country’s National Asset Management Agency, which now controls almost 4% of the entire Irish hotel stock.View Article
Peninsula owner sees domestic strength
Hongkong & Shanghai Hotels reported a 31% rise on first half net profit on the year to HK$605m (£50m), as occupancy at its hotels rose. The growth marks a return in performance for the luxury group, and in some properties trading is now close to pre-crisis levels.View Article
Dubai World could avoid fire-sale
Dubai World is reported to have received support from its creditors ahead of its October restructuring deadline for its $39.9bn (£25.7bn) of debt, which could see it avoid a fire-sale. The group, which has become a cautionary tale of debt-based expansion, has been in talks with banks concerning the renegotiating its debt and is thought to have reached agreement over a plan which could see it hold onto assets until their values recover.View Article
Host builds asset fund
Host Hotels & Resorts announced in August that it was selling close to $400m (£256m) worth of shares, under an arrangement it has with BNY Mellon allowing it to raise money “from time to time”. The cash will be used to continue the Reit’s acquisitive streak this summer, which has seen it buy the Le Méridien Piccadilly for £64m and the Westin Chicago River North for $165m. It also led a joint-venture acquisition to take the W New York Union Square out of bankruptcy.View Article
Buying into boutiques
Urban & Country Leisure, the pub operator which is due to open its first hotel in October, has confirmed plans for a chain of small boutique hotels, with a £15m investment expected to take it to 10 sites in two years. The group has so far invested £1.5m converting the former Globe Hotel in Warwick into a 16-room hotel, pub/restaurant called The Lazy Cow, marking increasing interest in the UK’s boutique hotel market.View Article